Real Estate in south Florida has always been a hot commodity. However since the reopening after last year’s lockdowns, the market has been exploding. Month after month we have seen a steady increase in the sales price for homes in South Florida. Even with property values increasing, the demand has not let up.
The reason for this increased demand is caused by a few factors. First of all, since the pandemic many companies are continuing to allow their employees to work remotely. With this luxury, many families from California, New York, New England and other colder climate states are seeking the warm weather and beaches South Florida has to offer. Moreover with increasing rental prices and lowered interest rates, many south Florida residents are seeking homeownership.
No one expected the market to stay this strong for this long. Over a year later since we began reopening, the only significant change is that the supply of available homes for sale is starting to reduce. As a result homes for sale do not last long on the market, and are getting multiple offers. Leading to bidding wars for potential buyers.
In the second quarter of 2021, we have seen that at least 1% of all home sales are selling for as much as 30% above list price, almost double from the first quarter of 2021. Whether or not homes are getting offers significantly above asking, we are seeing single-family homes and condo median sales prices at a 20% increase in south Florida.
“You have upward pressure on prices from appreciation in the neighborhood,” said Chris Glynn, senior economist at Zillow. “When the house down the street sells for above listing price, people ask what they could get for their house too.”
We, at Title Partners of Florida, write and support the real estate transaction closing, including the issuance of title insurance policies through Attorneys’ Title Insurance Fund. We also coordinate searches, title products, and a variety of other services for our clients. Contact us with any questions about our real estate closing services by phone at (844) 321-6168 or by email at firstname.lastname@example.org.